Pages:

"If you're going to panic, do it fast and beat the crowd." ~ Jesse Livermore

Thursday, November 10, 2011

Market Selloff: Contagion Spreading

Market Selloff: 'Contagion Spreading; They've Got to Stop This'
CNBC.com
The contagion is spreading. They've got to stop this," said Marc Chandler, Brown Brothers Harriman chief currency strategist. "The French bond spread to the German bund is at a new high. Three month Libor is at its highest level in more than a year. ...

65% Chance Banking Crisis by End November: Think Tank
CNBC.com
“The spreads applied to the debt of all PIIGS increase with yields on Italian bonds [cnbc explains] reaching 7.3 percent. In a second contagion effect, depositors in Spain and Italy fear a banking crisis in their own countries, which end up creating a ...

Cameron Says Italy Borrowing Costs Becoming Unsustainable
San Francisco Chronicle
Cameron is concerned that that the sovereign credit crisis sweeping Europe's southern fringe may hurt Britain's growth prospects, tipping a fragile economy back into recession for the second time in three years. Without a direct say in euro-area policy ...

Italian Struggles Send US Banks Down On Fears Of Contagion
Wall Street Journal
The firm has said its positions contain no credit-default swaps. JP Morgan Chase & Co. (JPM), the largest US bank by assets, said its exposure to Italy at the end of September included $6.1 billion of sovereign trading risk, which includes ...

Fears of Italian Default Tank Stocks
Norwich Bulletin
The Dow Jones industrials fell more than 3 percent Wednesday on fears that Italy's debt problems may be uncontrollable. (Nov. 9) For the first time ever, the federal government launched a nationwide test of the emergency alert broadcast system. ...

Greek Half-Default Leaves Trillion Dollar Market in Limbo
Gold Seek
The Asian Financial Crisis had ties to derivatives, as did the housing market. Bailouts in each case were the temporary solution to stem complete failure of the largest insurance market on earth. Going forward, the market for credit default swaps could ...

Markets Fearing Contagion
RTT News
(RTTNews) - The major US index futures are pointing to a sharply lower opening on Wednesday, with sentiment deteriorating following a surge in Italian bond yields above the 7 percent level, a high for the euro area. The brief rally sparked by the news ...

Brazil willing to help IMF to tackle European financial crisis
Washington Post
Since the global financial crisis began in 2008, Mantega and other leaders from developing nations have fought for reforms in the IMF, World Bank and other multilateral institutions that would take into account the growth of emerging nations such as ...

Gold Over EUR 1300 - On Way to 'Infinity' on Eurozone Contagion?
Business Insider
Gold remains near a seven week high and has risen to above EUR 1305/oz due to the deepening Eurozone crisis and contagion risk. Deepening geopolitical tensions regarding Iran, Israel and the western world has led to oil rising for six days in a row now ...

Treasurer Wayne Swan urges leaders to address financial crisis
The Daily Telegraph
Source: The Courier-Mail WAYNE Swan has called on world leaders to unite and urge Europe to "quickly" address the financial crisis, which is threatening to drag the world into a recession. In Honolulu to attend the Asia-Pacific Economic Cooperation ...

Lesson from Iceland's 2008 Financial Crisis: Let Banks Fail
The New American
Portugal, Ireland, and Spain — the other three of the so-called PIIGS EU member-states — are enduring their own woes, such as downgrades of sovereign debt and corresponding jumps in the interest rates on government bonds. ...

Why Not Default
Citizen Economists (blog)
In fact, the government guarantee of repayment is why default was taken off the table as an option: the government didn't want taxpayers to take it in the shorts. Neo-con bomb-lobbing aside, Obama's plan is pretty terrible. ...

Risk of UK default set to soar if Italy defaults
Telegraph.co.uk
The risk of a British default has soared alongside the fears that Italy may not be able to service its debt, analysts have warned. At the moment the price of insuring Britain's debt - through credit default swaps - implies a 9pc chance of default. ...

Moody's warns of Lehman-like contagion
Sydney Morning Herald
The US economy could be hurt by Lehman-like financial contagion if the euro-zone debt crisis engulfs major European countries such as Italy, Moody's Investors Service said overnight. That is still not the assumption adopted by the ratings agency, ...

Financial Crisis, Jobs Dominate Spanish Candidates' Debate
Latin American Herald Tribune
MADRID – Spain's financial crisis and the 5 million workers it has left unemployed was the focus of the only electoral debate between the two leading candidates for the Nov. 20 general elections, Socialist Alfredo Perez Rubalcaba and the conservative ...

Study: Financial Crisis Could be Hurting Senior Citizens
KSAX
The growing financial crisis could be having a negative impact on the health of American seniors. A study published in the Journal of Studies on Alcohol and Drugs looked at people over the age of 65. It showed seniors with money problems were 30 ...

US Politics | AMERICAblog News: The Italian financial crisis, the ...
By Steve Kyle (NY)
And if they did go ahead and buy some Italian government bonds to show they meant business, then they would be able to make a profit on them once it became clear that nobody needs to be afraid of a default. Why should Americans care? ...
US Politics | AMERICAblog News

UBS: Here Are The 19 Countries Most Likely To Default
By Mamta Badkar
With the the turmoil in Italy, Ireland is having a harder time convincing markets and investors that it could escape contagion. Meanwhile, Greece ... As the European debt crisis continues, we drew on UBS analyst Andrew Cates' aggregate balance sheet risk index to provide a snapshot of the financial fragility of countries that look most likely to default. The factors that ... The least effected country of the financial crisis in Canada.... still rated #15 in the work most likely to default. Where you ...
Clusterstock